FE Report

Korea is going to fund the Karnaphuli Rail-road Bridge Project in Chattogram, the total cost of which has been estimated at Tk 1.24 billion.

Bangladesh government will provide $0.43 billion to implement the project while the EDCF and the EDPF of South Korea will give the remaining $0.81 billion, officials said.

Recently, Hee-sung Yoon, chairman and CEO at the Export-Import Bank of Korea (KEXIM), has signed a loan agreement with Md Shahriar Kader Siddiky, secretary at the Economic Relations Division under the Ministry of Finance, at the Economic Relations Division office.

Young-sik Park, ambassador of the Republic of Korea to Bangladesh, attended the signing ceremony.

Notably, this project marks the largest-ever EDCF-supported endeavour and the first instance of combined financing from EDCF and EDPF in Bangladesh.

The bridge spanning the Karnaphuli River will be the only rail-cum-road bridge between Chattogram Port and industrial zone.

The project is expected to significantly reduce logistics costs, revitalise trade and contribute substantially to Bangladesh’s economic growth, officials hope.

This loan agreement establishes a tailored official development assistance (ODA) designed specifically to address Bangladesh’s extensive infrastructure development needs in alignment with the Indo-Pacific strategy, which is a principal component of the Korean government’s foreign policy agenda.

Hee-sung also met Prime Minister Sheikh Hasina at her parliament office after the signing ceremony, said a spokesperson for the Korean Embassy in Dhaka.

He noted that his government expressed its strong admiration for Bangladesh’s impressive economic trajectory.

Recognising Bangladesh government’s commitment to fostering innovative industrial development policies, the Korean government and the KEXIM have pledged to further strengthen their support for Bangladesh’s industrial development with EDCF and EDPF, the spokesperson said.

mirmostafiz@yahoo.com